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How to Find Your 1099 on Shopify: A Merchant’s Definitive Guide

Finding your 1099 form as a Shopify merchant is simpler than wrestling a rogue marketing budget, but it’s still a process you need to understand. Shopify doesn’t directly issue 1099 forms. Instead, if you’ve used Shopify Payments and met the IRS requirements, Stripe, Shopify’s payment processor, will provide your 1099-K form. You can typically access this form electronically through your Stripe Express Dashboard. You’ll receive an email notification from Stripe when your 1099-K is ready.

Navigating the 1099 Maze: Stripe Express and Beyond

As a seasoned e-commerce veteran, I’ve seen countless merchants scratch their heads when tax season rolls around, wondering where their 1099 is hiding. The key to unlocking this mystery lies in understanding Shopify’s role as a platform facilitator and Stripe’s responsibility as the payment processor. Let’s break it down.

The Stripe Express Connection

Shopify integrates seamlessly with Stripe for payment processing. This means Stripe handles the financial transactions, including issuing 1099-K forms to eligible merchants. The 1099-K reports the gross amount of reportable payment card/third-party network transactions. So, if you used Shopify Payments, Stripe is your 1099 source.

To access your 1099-K:

Check Your Email: Stripe typically sends an email notification to the email address associated with your Stripe account. This email will contain instructions on how to access your 1099-K. Don’t forget to check your spam folder!
Log into Your Stripe Express Dashboard: If you can’t find the email, you can directly log into your Stripe Express Dashboard. You should be able to access it using the link provided in your initial Shopify Payments setup or by searching “Stripe Express Login” online.
Navigate to Tax Forms: Once logged in, look for a section labeled “Tax Forms,” “Documents,” or something similar. Your 1099-K should be available for download as a PDF.

Important Note: If you used a different payment gateway than Shopify Payments (and thus Stripe), you’ll need to obtain your 1099 from that specific payment processor. For example, if you use PayPal, you’ll get your 1099 from PayPal.

What Happens if You Can’t Find It?

Don’t panic. Here’s a troubleshooting checklist:

Verify Your Eligibility: Make sure you meet the IRS reporting threshold for 1099-K issuance. As of 2024, the IRS threshold is $20,000 in gross payment volume and more than 200 transactions. However, some states may have lower thresholds.
Double-Check Your Email Address: Ensure the email address on file with Stripe is correct and that you have access to it.
Contact Stripe Support: If you still can’t find your 1099-K, reach out to Stripe support directly. They can help you troubleshoot access issues or resend the form.
Check for Updates: Sometimes, forms are delayed due to processing. Check your Stripe Express Dashboard periodically for updates.

Understanding the 1099-K

The 1099-K reports the gross payment volume you processed through Stripe. This means it includes:

The total amount of all transactions.
Shipping and handling fees.
Sales tax collected (even though you’ll remit this to the government separately).

It’s crucial to understand that the 1099-K doesn’t represent your net profit. You’ll need to deduct your business expenses to determine your taxable income.

Frequently Asked Questions (FAQs)

Here are 12 frequently asked questions (FAQs) to provide additional valuable information:

What is a 1099-K form, and why do I need it?
The 1099-K form is an IRS information return that reports the gross amount of payment card/third-party network transactions. You need it to accurately report your income and pay the appropriate taxes. It helps the IRS track income received through third-party payment processors like Stripe.
What are the IRS requirements for receiving a 1099-K?

Currently (as of 2024), the IRS requires a 1099-K to be issued if you have gross payment volume exceeding $20,000 and more than 200 transactions. However, this may change in the future, and some states have lower thresholds. Always verify the current IRS guidelines.
What if I didn’t meet the IRS threshold, but my state has a lower one?
Some states have lower reporting thresholds than the IRS. If you meet your state’s threshold, you will receive a 1099-K even if you don’t meet the federal requirements. Always check your state’s tax regulations.
I have multiple Shopify stores. Will I receive a separate 1099-K for each one?
It depends. If each store has its own unique Stripe account, you’ll receive a separate 1099-K for each account that meets the IRS or state threshold. If multiple stores are linked to a single Stripe account, the 1099-K will reflect the combined transaction volume.
How do I update my tax information in Stripe Express?
Log into your Stripe Express Dashboard and navigate to the “Tax Information” or “Account Details” section. Here, you can update your EIN, SSN, address, and other relevant information. Ensure this information is accurate to avoid issues with your 1099-K.
What if the information on my 1099-K is incorrect?
Contact Stripe support immediately. They can investigate the discrepancy and issue a corrected 1099-K if necessary. Do not file your taxes with incorrect information.
I received a 1099-K, but some of those transactions were refunds. How do I account for that on my taxes?
The 1099-K reports gross payment volume, so it doesn’t account for refunds. You’ll need to deduct the amount of refunds issued as a business expense on your tax return. Keep detailed records of all refunds issued throughout the year.
Can I download my 1099-K as a CSV file?
Typically, Stripe provides the 1099-K as a PDF file. However, you can download transaction data from Stripe in CSV format to reconcile your records. This CSV data can be helpful in calculating your taxable income.
What happens if I don’t receive a 1099-K?
If you believe you should have received a 1099-K based on your transaction volume, first verify that your tax information in Stripe is correct and that you meet the IRS or state threshold. Then, contact Stripe support to inquire about the missing form.
Do I need to report the income from my 1099-K if I already reported it through other means?
Yes, you still need to report the income from your 1099-K on your tax return. The 1099-K is an informational document, and you are responsible for accurately reporting all income, regardless of whether you receive a 1099-K or not.
Does Shopify provide any resources to help me with taxes?
Shopify offers various resources, including blog posts, webinars, and guides, to help merchants understand tax obligations. However, Shopify doesn’t provide tax advice. Consult with a qualified tax professional for personalized guidance.
I’m still confused. Who can I turn to for help with my taxes?
The best course of action is to consult with a qualified tax professional, such as a Certified Public Accountant (CPA) or a tax attorney. They can provide personalized advice based on your specific business situation and ensure you comply with all applicable tax laws.

Navigating the world of 1099s might seem daunting, but with a clear understanding of the process and resources available, you can confidently tackle tax season and keep your e-commerce business thriving.